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Welcome back everyone. 
I am Cass PNC. 

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I'm joined, as usual, by my 
partner in crime, Mr. Bennett 

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Tomlin. 
How are? 

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You. 
I'm doing well. 

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How are you, Cass? 
I'm good. 

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We're talking about favorite 
person again, who we just can't 

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get enough of, Justin. 
Sun, get enough of us. 

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I'm sure I know he's a huge fan.
Justin Sun, who created Tron and

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bunch of stable coins bought 
bought some cryptocurrency 

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exchanges and is known as as as 
one of the wealthiest 

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cryptocurrency guys. 
We over at Protos have been 

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reporting on him lately and 
noticing some significant issues

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with some of the projects that 
he's deeply intertwined with. 

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So I am going to turn it over to
you, Bennett, where you can get 

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us started. 
I think probably the best place 

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to start is with Polonia X. 
Sure we can start with Polonia X

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Polonia X is like the classic 
cryptocurrency shit coin trading

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exchange. 
They used to even have like an 

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open chat box where all the shit
coin to gens could like make 

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comments at each other while 
they were trading. 

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At one point it was bought by 
Circle and then it was bought by

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Justin Sun, and since then it 
has gotten even worse. 

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At one point Justin promised 
that they were going to do a 

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proof of reserves to prove they 
were solvent. 

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That never happened for reasons 
which I think will become clear.

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And since then there have been 
some other issues, one of which 

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involves a product called 
Wrapped Bitcoin on Tron. 

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Polonia X offers this product 
which allows people to get a 

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version of Bitcoin on Tron. 
The problem is Polonius won't 

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tell us where the bitcoins fit 
this product are held. 

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Sorry, sorry, sorry that I don't
think that's like an accurate 

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enough description of what 
wrapped Bitcoin is necessarily 

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like. 
I think it would be nice for us 

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to help people understand in 
case they're unfamiliar with 

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cryptocurrency in general. 
Sure, Wrapped Bitcoin. 

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How it's supposed to work is you
send your Bitcoin to a certain 

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address and you get a 
corresponding token on another 

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chain that's meant to represent 
that Bitcoin. 

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There's a common and very 
popular version of this on 

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Etherium that openly publishes 
like the addresses the Bitcoin 

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and stuff are stored in. 
Why would anyone want to do 

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that? 
Because they want to use Bitcoin

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in Defy, right? 
Interact with various smart 

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contracts on the chain on 
Etherium generally or in this 

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case on Tron. 
So if you want to use Bitcoin in

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a lending protocol or something 
like that on Tron, you got to 

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wrap it first and the most 
popular wrapper on Tron is this 

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one offered by Poloniux. 
But the problems like we said 

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our Polo won't tell you where 
the Bitcoin are Polo delisted 

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this asset it's not clear that 
any user can currently issue or 

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redeem this asset via Poloniux. 
Oh, and then Justin sends other 

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exchange HTX formally will be 
over half the Bitcoin on that 

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exchange. 
Is this version of Bitcoin over 

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on a Justin Sun connected just 
lend a Tron lending platform. 

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There are billions. 
There's like a huge portion of 

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this Bitcoin as well, making up 
the a big chunk of that. 

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And so Justin Sun has this 
Bitcoin product, but we don't 

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know if there's actually 
bitcoins that go with it. 

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And it makes up a huge portion 
of HT XS reserves. 

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And we don't know how much of 
Polonia XS reserves it makes up 

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because they still haven't done 
their proof of reserves. 

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That's one of the problems in 
Justin Sun's empire right now. 

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There are others, including the 
fact that USD is algorithmic 

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stable coin which was originally
supposed to be a rip off of 

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Terra but like hasn't actually 
gotten to the point Terra was 

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ever at that one. 
There appears to only be 1 user.

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Well, currently a bunch of the 
reserves for that coin, which 

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are presumably controlled by the
Trondow reserve are for some 

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reason held at HTX and included 
in the HTX proof of reserves, 

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which kind of seems like you're 
double counting there, Justin, 

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kind of seems like you're 
putting money in two places. 

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Then we have the other stable 
coin that Justin's son probably 

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owns and we have to say probably
because he keeps denying it 

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despite the large amount of 
evidence. 

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True USD, True USD has recently 
seen its market cap collapse 

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from like 3.5 billion to 450 
million, losing like over 3 

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billion in the span of like a 
month and so Polonia X won't 

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show its reserves. 
HT XS reserves are fucked to 

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hell. 
There's a whole bunch of shit 

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going on with like the wobe Dow 
being converted to some new 

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token thing where he's trying to
like screw over old token 

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holders for the old wobe 
whatever thing that never should

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have existed in the 1st place. 
True USD his stable coin has 

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been like gutted and like 
they're not storing money at one

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of their banks anymore. 
They still haven't fixed the 

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issues with their Swiss bank and
like so this huge portion of 

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Justin Sons empire looks 
plausibly insolvent and Justin 

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Sun no longer even has 
diplomatic immunity to help him 

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get out of it. 
Yeah. 

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That was the other story that we
we reported over at Protos was 

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that Justin Sun, who in addition
to all of the stuff that you've 

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just heard, had to settle a 
court case in San Francisco. 

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He was under arbitration. 
It's not clear what the 

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settlement was for, but one of 
the claims that Justin Sun made 

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in this case repeatedly was that
he had diplomatic immunity from 

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this lawsuit because he was not 
only the permanent 

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representative and ambassador to
the World Trade Organization for

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Granada, he was also the in 
chart like the ambassador for 

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technology and emerging like 
emerging innovation for Granada 

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to the United Nations. 
And so he believed that the 

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United Nations, I, I don't know 
if it if he actually believed 

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this. 
I have no idea what lawyers he's

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speaking with or what. 
Grenada, Grenada, I guess I'm 

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saying it wrong. 
Grenada told him when he 

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received these. 
But I can I can tell you that 

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the UN says that diplomatic 
immunity does not apply 

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retroactively. 
So there was no way that he was 

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covered for this court case, 
regardless of whether it was for

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the UN. 
And then we've previously 

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reported that the World Trade 
Organization ambassadorship that

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he had is only good when he's on
a mission in Switzerland. 

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So any other time when he was in
any other place or not on a 

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mission, which is also quite 
common. 

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The UN said this as well, that 
unless they're on a mission, 

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generally they don't have 
diplomatic immunity at all. 

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It is actually, I don't think 
people think you're like granted

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diplomatic immunity and it just 
applies all the time and for 

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anything. 
And that is definitely not the 

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case. 
It certainly was not the case 

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with Justin Sun. 
And yeah, it seems very clear 

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that he did get this special 
citizenship from Grenada 

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specifically because he thought 
it would give him diplomatic 

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immunity, which it didn't. 
So we don't, we know that he 

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lost those posts. 
We don't know what his 

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citizenship status is in Grenada
or I, I believe he's in 

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Singapore, but I, I, who, who 
knows, Who knows what's going on

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with him? 
It's a lot of little messes, but

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it doesn't seem like anyone is 
too concerned about his, his 

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little empire. 
Maybe because it's so it's its 

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own little walled garden 
Perhaps. 

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Perhaps. 
And like, I think part of it is 

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that, like, he has such 
extensive control, despite him 

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pretending that Daos exist for 
some of these things, he has 

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such extensive control over so 
much of this. 

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And he has like a significant 
network of connections to 

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various people. 
Let me rephrase this. 

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You and I were talking about 
this recently. 

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Justin's son does have a 
significant pile of relatively 

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liquid coins and I think that 
has so far helped him paper over

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a lot of other issues as they 
come up. 

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When USDD, for example, D pegs, 
he's able to bring it back to 

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peg. 
When there's issues with HTX, 

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he's able to send enough assets 
over there to keep withdrawals 

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open for some of these coins. 
And because he has this and my 

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guess is he also has other 
lenders and desks who are 

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extending him credit against the
knowledge or against this pile 

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of somewhat liquid coins. 
And this gets into, I'm saying 

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liquid, they may not truly be 
like unencumbered liquid assets 

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he's supposed to be using in 
that way. 

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What I mean is he has assets he 
could easily sell in 

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cryptocurrency wallets he 
currently controls. 

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There may be other claims 
against them, but for now, 

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they're under his principal 
control. 

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And I think because of that, 
he's been able to kind of paper 

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it over. 
The other kind of wrinkled to 

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this and I think we talked about
this a little bit when Boaz was 

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on is that Tron is is not 
significantly used in Tron is 

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far less significantly used in 
like the Western world, if you 

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want to call it that, right. 
Like trans major base of support

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was far more in the East and 
many of like the issues over 

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there, even the ones that have 
been somewhat reported have not 

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seemed to have made their way 
into the like Western crypto 

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press in the same way. 
I remember when we were looking 

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at like the will be token 
shenanigans and stuff, Almost 

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all the people you could find 
like complaining and talking 

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about it. 
We're doing it like in Chinese, 

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not in English. 
And like that seemed to have 

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been the primary audience that 
was originally reached by the 

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token in that. 
And so I think that has somewhat

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insulated Justin from the 
interest of the broader Western 

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crypto world. 
I will say that Tron is as much 

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as I, I think everything about 
it is a total shit show. 

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It is widely used in 
cryptocurrency, I think largely 

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just because it's quick. 
It's known as like a fast 

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cryptocurrency and that has 
created some sort of Moat for 

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it, though I would imagine we 
don't like you said, I like 

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there's all these Ethereum and 
Solana and all these other 

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whatever coins that are known 
for their defy usability. 

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I don't know if Tron has been 
able to build that out. 

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As much as Justin Sun pretends 
he has it it, it seems like it's

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him who's building on Tron. 
And this gets to be kind of like

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the wrinkle, right? 
Like you go and defy Lama and 

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you can see that Tron has a 
total value lot number that is 

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double Solana. 
Even BSc is still ahead of 

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Solana, believe it or not. 
But then you hear that number 

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being 8 point, whatever billion 
or whatever and you go, oh, how 

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much of that is just Justin? 
Like if WBTC on just lend a loan

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is over a billion dollars and we
don't know that there's actually

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bitcoins that go with it. 
Like what does that 8 billion 

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number actually mean or 
whatever, right. 

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And so you end up in like that 
makes it, in my opinion, also 

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harder to assess Tron in the 
grand scheme of things. 

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Well similar to Etherium I think
most of the transactions that 

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are occurring tell me if I'm 
wrong, but most of the 

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transactions occurring fake or 
not are USDT are are tethered 

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transactions on on Tron right? 
I don't know, probably 

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especially with Justin doing 
some shenanigans with his staked

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USDT, which like 99% we said was
going to like entities connected

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to him or whatever. 
And so again, this is and like 

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staked USDT, this other thing 
that's almost all going to 

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Justin makes up a big portion of
the USDT reserves on HTX, 

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further contributing to our 
aforementioned likely 

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insolvency. 
Like this entire thing is an 

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interconnected insolvent mess 
that is like one indictment away

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from a multi billion dollar 
collapse. 

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Is there any real idea or threat
or concept that Tron? 

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Like there could be the the 
chain could get destroyed that 

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that it could get shut down that
all the validators and nodes 

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could get. 
Like is there any realistic idea

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that that could happen with 
Tron? 

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So the largest staker on Tron 
seems to be Binance staking, 

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followed by something called 
Crypto Labs, which poke some of 

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these too hard and see who's 
behind them. 

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The third largest is Luganodes, 
which is Tether funded. 

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Then you get to something called
and that like this is the 

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problem is it's kind of hard to 
get into some of these. 

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Then you get like metaverse 
home, which I don't know who 

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that is. 
JD investment could be anyone. 

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Poloniak's Hey, we're back at 
Justin's Sun Intelligence Quant 

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could be anyone Crypto AI could 
be anyone who will be wallet. 

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Hey, we're back at Justin Sun, 
Tron Alliance, Justin Sun 

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Valkyrie Investments, Justin Sun
Justin doesn't own Valkyrie. 

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He's just like 80% of their AUM.
And so I am not sure I haven't 

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gone deep enough on like Tron's 
consensus algorithm. 

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And frankly, there's probably 
not very many people who have 

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who can like, accurately start 
to figure out what, like, how 

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secure is Tron? 
Really, here's something I'll 

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say. 
I don't think until I see any 

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government, I would. 
I would expect if any government

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entity were to attack a 
blockchain, I, I don't know if 

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that's the right word, but take 
over, seize a blockchain. 

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I assume it would be the US, but
until I see them do it, I I 

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really wouldn't expect them to 
do it. 

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I wouldn't expect them to put 
all that effort and energy into 

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something like that. 
I. 

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Think you're right. 
I think that it is very unlikely

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they would do that. 
Like you can already get all the

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blockchain information without 
having to do that, right. 

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So it's not like doing that's 
giving you some secret insight. 

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And generally the government's 
going to prefer to go after like

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registered entities with 
addresses and people and things 

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like that. 
And they're just going to like 

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if let's say, let's pretend, 
let's pretend the US government 

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decides we hate that people can 
transact and Tron. 

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You like, try to get Tron named 
as security. 

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You crack down on any exchange 
that lists it. 

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You go after financial service 
providers that are providing 

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like rails to Tron. 
You go after any like Tron nodes

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and validators in the United 
States. 

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And you can do all those things 
without ever having to try to 

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like, take over. 
Tron, you know how you do all of

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those things. 
You arrest Justin's son. 

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Which of? 
Course, we don't know that 

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that's what they're going to do.
Oh no, I'm to be clear, I want 

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to make sure everyone 
understands. 

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I would never suggest that. 
I'm not, you know, I'm not 

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making any suggestions, 
questions about actual 

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criminality here. 
This isn't, this isn't court 

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anyway, you know, Justin, I want
to, I just want to let you know,

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I hope we're still invited to 
the Tron Christmas party. 

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We, we didn't mean anything bad 
by reporting on you and 

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everyone. 
If, if you want to see Justin, 

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come on the podcast. 
If you want to see him join us, 

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remember to hit that like and 
subscribe button because I, I, I

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think Justin, I think we've 
reached out to him. 

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He's, he's interested, right? 
Oh almost definitely. 

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I'm sure he'll be on here any 
day. 

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Right after he answers some 
questions about why Polonia XD 

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listed WBTC. 
Yeah, I would love for him to 

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just come join us in studio, 
come to the US. 

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Just a nice little chat.
